Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Resource Mobilisation

Question:

Anjali, who is doing graduation from Delhi University, has got an idea to make a safety gadget for college going girls which will give alert message to the registered numbers as well as nearest police stations, if the wearer is in any kind of danger. To execute her idea, she requires finance. She convinced one of her teachers who has the knowledge of making such gadget to provide her finance for feasibility studies. Identify the source of funding used by Anjali :

Choose the correct answer from the options given below:

Options:

Primary Market

Capital Market

Venture Capital

Angel Investor

Correct Answer:

Angel Investor

Explanation:

The most appropriate source of funding used by Anjali is (D) Angel Investor.

An angel investor is a high-net-worth individual who invests his or her own money in early-stage companies in exchange for equity or convertible debt. In this case, Anjali's teacher is providing her with funding for feasibility studies, which is a typical role for an angel investor.